TAP Air Portugal ended 2023 with a net profit of €177.3 million
TAP Air Portugal, despite a privatization effort that has rocked back and forth during the year, has managed to achieve a record-breaking net profit result, surpassing the net income it earned in 2017. Looking forward, the airline will focus on sustainable profits by improving its various organizational processes.
Record-breaking result
TAP Air Portugal ended 2023 with a net profit of €177.3 million ($191.9 million), surpassing the net income result it posted in 2017. Compared to a year prior, the carrier’s profits grew by €111.7 million ($120.9 million), with the company’s revenues growing to €4.2 billion ($4.5 billion).
Speaking about the results, Luís Rodrigues, the chief executive officer (CEO) of TAP Air Portugal, stated that the year’s results affirmed the airline’s recovery path in recent years. The executive noted that its record revenues, robust and resilient operating margins, and a clear deleveraging trend have confirmed its financial strength.
“An increase in punctuality and regularity in the second half of the year, as well as in the NPS, underscores the organizational focus on delivering a better service to our passengers. Signing the new collective labour agreements confirms the recognition and commitment towards our people.”
Expecting a challenging 2024
However, Rodrigues noted that 2024 will be a challenging year, which will test the organization’s focus. As such, the CEO said that TAP Air Portugal will need the commitment of all of its employees to enable the Portuguese carrier to establish itself as one of the most attractive companies in the industry.
Meanwhile, the airline’s outlook said that the primary goal for the upcoming financial year is to execute its strategic roadmap, which would allow TAP Air Portugal to remain profitable in the long run. The carrier added that it will look to improve its operations, invest in its people and customers, strengthen its focus on key markets, and capitalize on its strong results while also managing costs, improving cash flow, and continuing deleveraging.
